• Skip to main navigation
  • Skip to content
  • Skip to primary sidebar
  • Skip to footer

Real Estate Agents in Hampton Roads VA - The Melton Team, RealtorsReal Estate Agents in Hampton Roads VA - The Melton Team, Realtors

The Best Real Estate Agents in Hampton Roads VA. Homes for sale, new properties, REALTOR info as well as information about our team.

  • Home
  • Buyers
    • Featured Homes
    • Buying 101
    • Home Search
    • Ready to Purchase?
    • 8 Steps
    • On The Fence?
    • Out of Town?
      • VIP Example
  • Sellers
    • Selling 101
    • 4 Steps to SOLD
    • 5 Keys
    • Ready to Sell?
    • Custom Market Report
  • About Us
    • The Melton Team
    • Erin Melton
    • Welcome
    • Memory Lane
    • Testimonials
    • Submit Review
  • About eXp Realty
  • Contact
    • Erin Melton
    • Locations
    • Appointment
  • FAQ

Homebuyer Traffic Is on the Rise

Homebuyer Traffic Is on the Rise | Simplifying The Market

One of the biggest surprises of 2020 is the resilience of the residential real estate market. Lawrence Yun, Chief Economist of the National Association of Realtors (NAR), is now forecasting that more homes will sell this year than last year. He’s also predicting home sales to increase by 8-12% next year. There’s strong evidence that he will be right.

ShowingTime, a leading showing software and market stat service provider for the residential real estate industry, just reported on their latest the ShowingTime Showing Index:

“Home buyer traffic jumped again in July, recording a 60.7 percent year-over-year increase in nationwide showing activity.”

That means there are 60% more buyers setting appointments to see homes than there were at this same time last year. The number of potential purchasers was also up dramatically in every region of the country:

  • The Northeast was up 76.6%
  • The West was up 56.7%
  • The Midwest was up 52.1%
  • The South was up 46.7%

The Housing Market Is Showing a ‘V’ Type Recovery

ShowingTime also indicates the real estate market has already come back from the downturn earlier this year that was caused by shelter-in-place orders. Here are the year-over-year numbers for each region on a monthly basis (See graph below):Homebuyer Traffic Is on the Rise | Simplifying The MarketWe’re way ahead of where we were at this time last year. This data validates the thoughts of Frank Martell, President and CEO of CoreLogic, who recently noted:

“On an aggregated level, the housing economy remains rock solid despite the shock and awe of the pandemic.”

Bottom Line

If you’re thinking about selling your house, this may be a great time to get the best price and the most favorable terms.

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

The Latest Unemployment Rate Fell to 8.4%

The Latest Unemployment Rate Fell to 8.4% | Simplifying The Market

Last Friday, the Bureau for Labor Statistics released their Employment Report for August 2020. The big surprise was that the unemployment rate fell to 8.4%, a full percent lower than what many analysts had forecasted earlier in the week. Though it is tough to look at this as great news when millions of Americans are still without work, the number of unemployed is currently much lower than most experts had projected it would be just a few months ago.

Not Like the Great Depression or Even the Great Recession

Jason Furman, Professor of Practice at Harvard explained:

“An unemployment rate of 8.4% is much lower than most anyone would have thought it a few months ago. It is still a bad recession but not a historically unprecedented event or one we need to go back to the Great Depression for comparison.”

During the Great Depression, the unemployment rate was over 20% for four consecutive years (1932 – 1935). This April, the rate jumped to 14.7%, but has fallen each month since.

During and after the Great Recession (2007-2009), the unemployment rate was at 9% or greater for thirty consecutive months (April 2009 – October 2011). Most economists believe the current rate will continue to fall monthly as the economy regains its strength.

What Happens Going Forward?

The outcome will be determined by how quickly we can contain the virus. In their last Economic Forecasting Survey, the Wall Street Journal reported the economists surveyed believe the annual unemployment rates will be 6.6% in 2021 and 5.5% in 2022. Though that will still be greater than the 3.5% rate that we saw earlier this year, it is lower than the annual rate reported in 2011 (8.5%), 2012 (7.9%), and 2013 (6.7%).

Bottom Line

There are still millions of Americans struggling through this economic downturn. There is, however, light at the end of the tunnel. The unemployment situation did not get as bad as many had predicted, and the recovery is taking place faster than most thought would happen.

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

Have You Ever Seen a Housing Market Like This?

Have You Ever Seen a Housing Market Like This? | Simplifying The Market

The year 2020 will certainly be one to remember, with new realities and norms that changed the way we live. This year’s real estate market is certainly no exception to that shift, with historic highlights continuing to break records and challenge what many thought possible in the housing market. Here’s a look at four key areas that are fundamentally defining the market this year.

Housing Market Recovery

The economy was intentionally put on pause this spring in response to the COVID-19 health crisis. Many aspects of the common real estate transaction were placed on hold at the same time. Thankfully, technology and innovation helped the industry power forward, and business gradually ramped back up as shelter-in-place orders were lifted.

The result? Total transformation of the market from rock-bottom lows to exceptional highs. Today, the housing recovery is being called truly remarkable by many experts and is far exceeding expectations. From pending home sales to purchase applications, buyers are back in business and homes are selling – fast.

According to the Housing Market Recovery Index by realtor.com, the market has surpassed pre-pandemic levels, and has regained the strength we remember from February of this year (See graph below):Have You Ever Seen a Housing Market Like This? | Simplifying The Market

Record-Breaking Mortgage Rates

Historically low mortgage rates are another 2020 game-changer. Today’s low rate is one of the big motivating factors bringing buyers back into the market. The average rate reached an all-time low on multiple occasions this year, and it continues to hover in record-low territory.

When rates are this low, buyers have a huge opportunity to get more for their money when purchasing a home, something many are eager to find while continuing to spend more time than expected at home this year, and likely beyond.

Continued Home Price Appreciation

One of the key drivers of home price appreciation this year is historically low inventory. Inventory was low going into the pandemic, and it is still sitting well below the level needed for a normal market. Although sellers are slowly making their way back into the game, buyers are scooping up homes faster than they’re coming up for sale.

This is a classic supply and demand scenario, forcing home prices to rise. Selling something when there is a higher demand for what is available naturally bumps up the price. If you’re ready to sell your house today, this may be the optimal time to make your move. As Bill Banfield, EVP of Capital Markets at Quicken Loans, notes:

“The pandemic has not stopped the consistent home price growth we have witnessed in recent years.” 

Increasing Affordability

Even as home prices continue to rise, affordability is working in favor of today’s homebuyers. According to many experts, rates this low are off-setting rising home prices, which increases buyer purchasing power – an opportunity not to be missed, especially if your family’s needs have changed. If you now need space for a home office, gym, virtual classroom, and more, it may be time to reconsider your current house.

According to Mortgage News Daily:

“Those shopping for a home can afford 10 percent more home than they could have one year ago while keeping their monthly payment unchanged. This translates into nearly $32,000 more buying power.”

Bottom Line

With mortgage rates hitting historic lows, home prices appreciating, affordability rising, and the market recovering like no other, 2020 has been quite a year for real estate – perhaps one we’ve never seen before and may never see again. Let’s connect today if you’re ready to take advantage of this year’s record-breaking opportunities.

 

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

Thank You, Essential Workers

Thank You, Essential Workers | Simplifying The Market

Thank You, Essential Workers | Simplifying The MarketTo all essential workers on this Labor Day, thank you.

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

The 2020 Homebuyer Wish List [INFOGRAPHIC]

The 2020 Homebuyer Wish List [INFOGRAPHIC] | Simplifying The Market

The 2020 Homebuyer Wish List [INFOGRAPHIC] | Simplifying The Market

Some Highlights

  • The word “home” is taking on a whole new meaning this year, and buyers are starting to look for new features as they re-think their needs and what’s truly possible.
  • From more outdoor space to virtual classrooms for their children, buyers have a growing list of what they’d like to see in their homes.
  • Let’s connect today if your needs have changed and your wish list is expanding too.

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

Homebuyer Demand Is Far Above Last Year’s Pace

Homebuyer Demand Is Far Above Last Year’s Pace | Simplifying The Market

Homebuying has been on the rise over the past few months, with record-breaking sales powering through the market in June and July. Buyers are actively purchasing homes, and the momentum is continuing into the fall. It is, however, becoming harder for buyers to find homes to purchase. If you’ve been thinking about selling your house, the coming weeks might just be the timing you’ve been waiting for.

According to the Pending Home Sales Report from the National Association of Realtors (NAR):

“Pending home sales in July achieved another month of positive contract activity, marking three consecutive months of growth.

The Pending Home Sales Index (PHSI), a forward-looking indicator of home sales based on contract signings, rose 5.9% to 122.1 in July. Year-over-year, contract signings rose 15.5%. An index of 100 is equal to the level of contract activity in 2001.”

This means that for the past several months, buyers have signed an increasing number of contracts to purchase homes – well above where the market was at this time last year. Lawrence Yun, Chief Economist at NAR notes:

“We are witnessing a true V-shaped sales recovery as homebuyers continue their strong return to the housing market…Home sellers are seeing their homes go under contract in record time, with nine new contracts for every 10 new listings.”

Below is a graph that shows the impressive recovery of homes sales compared to previous years. The deep blue v marks the slowdown from this spring that turned into an exponential jump in sales that followed through the summer, skyrocketing above years past:Homebuyer Demand Is Far Above Last Year’s Pace | Simplifying The Market

What Does This Mean for Sellers?

If you were thinking about putting your house on the market in the spring, but decided to wait due to the health crisis, it may be time to make your move. Buyers are in the market right now. With so few homes available to purchase, homeowners today are experiencing more bidding wars, creating an optimal time to sell.

Is This Trend Going to Continue?

As CNBC notes, there are no signs of slowing buyer demand this fall:

“The usual summer slowdown in the housing market is not happening this year. Buyers continue to show strong demand, spurred by the new stay-at-home world of the coronavirus and by record low mortgage rates.”

Danielle Hale, Chief Economist at realtor.com, concurred:

“In a typical year in the housing market, buyer interest begins to wane before seller interest causing the usual seasonal slowdown as we move into the fall. Due to a delayed spring season and low mortgage rates, we could see buyer interest extend longer than usual into the typically quieter fall. Whether this means more home sales will depend on whether sellers participate or decide to stay on the sidelines.”

As Hale mentioned, homeowners who are willing to sell their houses right now will play a big role in whether the trend continues. The market needs more homes to satisfy ongoing buyer demand. Maybe it’s time to leverage your equity and move up while eager home shoppers are ready to purchase a house just like yours.

Bottom Line

If your current home doesn’t meet your family’s changing needs, let’s connect to help you sell your house and make the move you’ve been waiting for all year.

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

How Will the Presidential Election Impact Real Estate?

How Will the Presidential Election Impact Real Estate? | Simplifying The Market

The year 2020 will be remembered as one of the most challenging times of our lives. A worldwide pandemic, a recession causing historic unemployment, and a level of social unrest perhaps never seen before have all changed the way we live. Only the real estate market seems to be unaffected, as a new forecast projects there may be more homes purchased this year than last year.

As we come to the end of this tumultuous year, we’re preparing for perhaps the most contentious presidential election of the century. Today, it’s important to look at the impact past presidential election years have had on the real estate market.

Is there a drop-off in home sales during a presidential election year?

BTIG, a research and analysis company, looked at new home sales from 1963 through 2019 in their report titled One House, Two House, Red House, Blue House. They noted that in non-presidential years, there is a -9.8% decrease in November compared to October. This is the normal seasonality of the market, with a slowdown in activity that’s usually seen in fall and winter.

However, it also revealed that in presidential election years, the typical drop increases to -15%. The report explains why:

“This may indicate that potential homebuyers may become more cautious in the face of national election uncertainty.”

Are those sales lost forever?

No. BTIG determined:

“This caution is temporary, and ultimately results in deferred sales, as the economy, jobs, interest rates and consumer confidence all have far more meaningful roles in the home purchase decision than a Presidential election result in the months that follow.”

In a separate study done by Meyers Research & Zonda, Ali Wolf, Chief Economist, agrees that those purchases are just delayed until after the election:

“History suggests that the slowdown is largely concentrated in the month of November. In fact, the year after a presidential election is the best of the four-year cycle. This suggests that demand for new housing is not lost because of election uncertainty, rather it gets pushed out to the following year.”

Will it matter who is elected?

To some degree, but not in the overall number of home sales. As mentioned above, consumer confidence plays a significant role in a family’s desire to buy a home. How may consumer confidence impact the housing market post-election? The BTIG report covered that as well:

“A change in administration might benefit trailing blue county housing dynamics. The re-election of President Trump could continue to propel red county outperformance.”

Again, overall sales should not be impacted in a significant way.

Bottom Line

If mortgage rates remain near all-time lows, the economy continues to recover, and unemployment continues to decrease, the real estate market should remain strong up to and past the election.

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

It’s Not Just About the Price of the Home

It’s Not Just About the Price of the Home | Simplifying The Market

When most of us begin searching for a home, we naturally start by looking at the price. It’s important, however, to closely consider what else impacts the purchase. It’s not just the price of the house that matters, but the overall cost in the long run. Today, that’s largely impacted by low mortgage rates. Low rates are actually making homes more affordable now than at any time since 2016, and here’s why.

Today’s low rates are off-setting rising home prices because it’s less expensive to borrow money. In essence, purchasing a home while mortgage rates are this low may save you significantly over the life of your home loan.

Taking a look at the graph below with data sourced from the National Association of Realtors (NAR), the higher the bars rise, the more affordable homes are. The orange bars represent the period of time when homes were most affordable, but that’s also reflective of when the housing bubble burst. At that time, distressed properties, like foreclosures and short sales, dominated the market. That’s a drastically different environment than what we have in the housing market now.

The green bar represents today’s market. It shows that homes truly are more affordable than they have been in years, and much more so than they were in the normal market that led up to the housing crash. Low mortgage rates are a big differentiator driving this affordability.It’s Not Just About the Price of the Home | Simplifying The Market

What are the experts saying about affordability?

Experts agree that this unique moment in time is making homes incredibly affordable for buyers.

Lawrence Yun, Chief Economist, NAR:

“Although housing prices have consistently moved higher, when the favorable mortgage rates are factored in, an overall home purchase was more affordable in 2020’s second quarter compared to one year ago.”

Bill Banfield, EVP of Capital Markets, Quicken Loans:

“No matter what you’re looking for, this is a great time to buy since the current low interest rates can stretch your spending power.”

Mortgage News Daily:

“Those shopping for a home can afford 10 percent more home than they could have one year ago while keeping their monthly payment unchanged. This translates into nearly $32,000 more buying power.” 

Forbes:

“Homeowners are the clear winners. Low mortgage rates mean the cost of owning is at historically low levels and who gains all the benefits of strong house price appreciation? Homeowners.”

Bottom Line

When purchasing a home, it’s important to think about the overall cost, not just the price of the house. Homes on your wish list may be more affordable today than you think. Let’s connect to discuss how affordability plays a role in our local market, and your long-term homeownership goals.

Content previously posted on Keeping Current Matters

Posted in: Melton Team Real Estate News

Launch of booj Platform Heralds New Era of RE/MAX Technology

In what he called “by far the biggest technology step we’ve ever taken,” RE/MAX CEO Adam Contos announced the official launch of the booj Platform on Monday, August 5.

“Today is an historic day in our network,” Contos told more than 1,000 attendees at the Opening General Session of the RE/MAX Broker Owner Conference (BOC) in Chicago. “Over time, the booj Platform will be the most powerful tech advantage RE/MAX affiliates have ever had.”

“(The booj acquisition) was the smartest investment we’ve ever made.” Dave Liniger

Developed by booj engineers in collaboration with thousands of RE/MAX affiliates, the booj Platform has been specifically designed to create a better customer experience by streamlining the work of agents from lead generation to post-close nurturing and beyond. Customer Relationship Management (CRM), the core of the booj Platform, is the centerpiece of the initial release.

RE/MAX Chairman and Co-Founder Dave Liniger, who credited “Adam and his leadership team” for the bold move that puts RE/MAX in control of its technology future, said he believes the booj Platform will prove to be the industry’s best.

“(The booj acquisition) was the smartest investment we’ve ever made,” Liniger said.

As Contos emphasized in his opening session remarks, the launch is “only the beginning” of a larger RE/MAX technology vision to leverage the network’s industry-leading productivity and worldwide presence.

“Our scale and global footprint give us a unique advantage,” Contos said, describing a long-term “moon shot” vision of a truly global tech system connecting RE/MAX agents and properties worldwide. “Imagine the competitive power in that.”

The booj launch – highly anticipated since the acquisition of the renowned web development and software firm in February 2018 – begins this month with the release of agent-facing products in 11 states in company-owned regions. The initial staggered rollout will continue throughout the fall, with participating independent regions and eventually global expansion to follow.

Later this year, the next phase will include a new remax.com and a consumer-facing mobile experience that will enable RE/MAX affiliates to deliver a more data-driven and efficient buying or selling experience.

Although the elements in the initial launch are extremely intuitive and easy to use, a massive tech training initiative will help affiliates engage with and learn the system. Sessions for brokerage leaders and trainers began at RE/MAX World Headquarters last month and will continue for 12 weeks. Enrolled participants represent more than 21,000 agents in all. The technology engagement team will also hit the road for a combined 324 days of live training in the next three months.

“The point is, we have you covered,” Contos told attendees. “We’ll do the heavy lifting.”

OTHER NEWS

In addition to the booj launch announcement, the Opening General Session had several other highlights:

  • RE/MAX has partnered with Photofy to create a customized app experience for RE/MAX brokers and agents to easily share content with their prospects. The agent platform is available free for 90 days with a $4 monthly fee after that.
  • Contos announced that Journey will perform the Fun Night concert at the 2020 R4, Feb. 24-27 in Las Vegas.
  • RE/MAX Stickers, an assortment of playful (and moving!) graphics featuring the brand, was released to affiliates all over the world. The colorful images are perfect for texts, social media and other digital use. There’s no cost involved.
  • RE/MAX is continuing a creative collaboration with Buzzfeed, with new video content expected to launch in late September. The campaign will feature real buyers and sellers addressing current real estate topics such as iBuying.
  • The team responsible for humorous viral videos such as “RE/MAX is Wack,” “Downline,” “Side Job” and “Open House” is producing new video content for the network. The current set has amassed more than a million views over the years.
  • Success expert Darren Hardy joined Contos in a lively discussion that ended the session. Hardy’s advice for brokers and agents alike? Determine your “vital functions” and make them your focus. “The more you focus, the better your results will be. When you’re focused and consistent, everything becomes easier.”

The post Launch of booj Platform Heralds New Era of RE/MAX Technology appeared first on ABOVE.


Source: RE/MAX

Posted in: Melton Team Real Estate News Tagged: RE/MAX

August 2018 Housing Affordability Index

At the national level, housing affordability is up from last month but down from a year ago. Mortgage rates rose to 4.78 percent this August, up 14.1 percent compared to 4.19 percent a year ago.

  • Housing affordability declined from a year ago in August moving the index down 8.3 percent from 153.9 to 141.2. The median sales price for a single family home sold in August in the US was $267,300 up 4.9 percent from a year ago.
  • Nationally, mortgage rates were up 59 basis point from one year ago (one percentage point equals 100 basis points).

  • The payment as a percentage of income was down to 17.7 percent this August but up from 16.2 percent from a year ago. Regionally, the West has the highest payment at 24 percent of income. The South had the second highest payment at 17 percent followed by the Northeast at 16.5 percent. The Midwest had the lowest payment as a percentage of income at 14.2 percent.

  • Regionally, the West recorded the biggest increase in home prices at 5.2 percent. The Midwest had an increase of 4.2 percent while the South had a gain of 3.6 percent. The Northeast had the smallest growth in price of 0.1 percent.
  • Regionally, all four regions saw a decline in affordability from a year ago. The Midwest had the biggest drop in affordability of 7.8 percent. The West had a decline of 7.7 percent followed by the South that fell 7.0 percent. The Northeast had the smallest drop of 5.5 percent.
  • On a monthly basis, affordability is up from last month in three of the four regions. The Northeast had biggest gain of 6.2 percent. The South had an incline of 2.4 percent followed by the West with a slight increase of 0.1 percent. The Midwest had the only dip in affordability of 4.8 percent.
  • Despite month-to-month changes, the most affordable region was the Midwest, with an index value of 175.7. The least affordable region remained the West where the index was 101.2. For comparison, the index was 146.7 in the South, and 151.2 in the Northeast.

  • Mortgage applications are currently down. Mortgage rates are still rising along with rents. Foot traffic is up which shows there is interest from future homebuyers. Job creation remains steady and new homes sales are continuing to incline. Home prices are up 4.9 percent outpacing median family incomes that are growing 3.0 percent.
  • What does housing affordability look like in your market? View the full data release here.
  • The Housing Affordability Index calculation assumes a 20 percent down payment and a 25 percent qualifying ratio (principal and interest payment to income). See further details on the methodology and assumptions behind the calculation here.


Source: NAR Economic Outlook

Posted in: Melton Team Real Estate News Tagged: Melton Team

Spruce Up Your Listing’s Front Stoop With a Taste of Fall

By Melissa Dittmann Tracey, REALTOR® Magazine

Orange can be a great color for adding curb appeal, and it fits perfectly into the fall season too. Bright orange pumpkins and flowers can add just the color pop needed to get potential home buyers looking straight at that front door. Check out some of these photos from the remodeling site Houzz and see how designers added inviting fall curb appeal to their front stoop.

Photo by Rikki Snyder – Browse entryway ideas
Photo by Rikki Snyder – Search entryway design ideas
Photo by Rikki Snyder – More home design ideas
Photo by Kirkendall Design – Search entryway design ideas


Source: National Association of Realtors

Posted in: Melton Team Real Estate News Tagged: NAR

In Which States Did Properties Sell Most Quickly in August 2018?

In a monthly survey of REALTORS®, respondents reported that properties were typically on the market for 29 days, just a day shorter time compared to one year ago (30 days), according to the  August 2018 REALTORS® Confidence Index Survey.[1] This indicates that in many states, the supply of homes for sale is still inadequate compared to the demand for homes. However, the difference in median days in the current month compared to the same month last year has started to narrow as homebuying demand has eased and the inventory of homes for sale has slightly increased. In January and February of this year, properties were selling about one week less compared to the length of time in the same period one year ago.

During the June–August 2018, properties typically sold within one month in 32 states and in the District of Columbia. Properties sold most quickly in the states of South Dakota (19 days), Washington (20 days), Colorado (21 days), Utah (21 days), Ohio (21 days), Idaho (22 days), Massachusetts (21 days), and Rhode Island (21 days).

 

Based on listing time on Realtor.com[2], properties sold more quickly in 385 out of 500 metro areas (77 percent)—still most of metro areas, but fewer than the number of metro areas that had year-on-year faster selling time in August 2017 (405 metros). Compared to the median days on market one year ago, properties sold more quickly in August 2018 even in the high-price areas of San Jose-Sunnyvale-Sta. Clara, San Francisco-Hayward, and San Diego-Carlsbad.

 

Scroll down the list of metro areas in the interactive table below or hover over the map to view the median number days properties were listed on Realtor.com in July 2018 and one year ago.

 

Fastest-Selling Markets August 2018

var divElement = document.getElementById('viz1538599628673'); var vizElement = divElement.getElementsByTagName('object')[0]; if ( divElement.offsetWidth > 800 ) { vizElement.style.width='560px';vizElement.style.height='1307px';} else if ( divElement.offsetWidth > 500 ) { vizElement.style.width='560px';vizElement.style.height='1307px';} else { vizElement.style.width='560px';vizElement.style.height='1307px';} var scriptElement = document.createElement('script'); scriptElement.src = 'https://public.tableau.com/javascripts/api/viz_v1.js'; vizElement.parentNode.insertBefore(scriptElement, vizElement);


About the Realtors® Confidence Index Survey

 

The RCI Survey gathers information from REALTORS® about local market conditions based on their client interactions and the characteristics of their most recent sales for the month. The August 2018 survey was sent to 50,000 REALTORS® who were selected from NAR’s1.3 million members through simple random sampling and to 8,386 respondents in the previous three surveys who provided their email addresses. There were 4,639 respondents to the online survey which ran from September 1-11, 2018. NAR weights the responses by a factor that aligns the sample distribution of responses to the distribution of NAR membership. The REALTORS® Confidence Index is provided by NAR solely for use as a reference. Resale of any part of this data is prohibited without NAR’s prior written consent. For questions on this report or to purchase the RCI series, please email: Data@realtors.org.

 

[1] In generating the median days on market at the state level, NAR uses data for the last three surveys to have close to 30 observations. Small states such as AK, ND, SD, MT, VT, WY, WV, DE, and D.C., may have fewer than 30 observations.

[2] To access Realtor.com data, go to https://www.realtor.com/research/data/.

 

 


Source: NAR Economic Outlook

Posted in: Melton Team Real Estate News Tagged: Melton Team

The Concrete Craze in Home Design

By Melissa Dittmann Tracey, REALTOR® Magazine

So you don’t typically think of concrete as a decor item inside your home but something more reserved for your driveway or a home’s foundation. It can be a cold, harsh surface. So, why are so many designers now using it in the design of interior spaces?

The faux industrial look is very popular at the moment, and concrete sinks, flooring, countertops, or even a concrete accent wall fits right into that style. Polished cement countertops or even concrete soaking tubs are on-trend.

Concrete’s neutral gray can appear less harsh too when used against whites, marbles, or wood.

A perk to concrete is it’s relatively easy to maintain, durable, and eco-friendly. It can retain heat and help keep moisture out—a reason we’re seeing it surface in more bathrooms lately.

Photo by Glenn Layton Homes – More kitchen ideas
Photo by WA Design Architects – More staircase ideas
Photo by Michele Menescardi Designer – Discover bathroom design ideas
Photo by Studio McGee – Search powder room design ideas


Source: National Association of Realtors

Posted in: Melton Team Real Estate News Tagged: NAR

Hot Home Trend: Color Block Your Kitchen Cabinets

By Melissa Dittmann Tracey, REALTOR® Magazine

Getting a little mismatchy in kitchen cabinet color designs is no longer being viewed as an unfinished reno job, but instead perfectly stylish in fitting with today’s trends. These “tuxedo kitchens,” as they’re nicknamed, are where the upper cabinets may be in one color—like in all white—and then the lower cabinets are in a contrasting shade, like a gray or dark walnut. It’s essentially a way to color block your cabinets.

The idea of going with two different shades on your kitchen cabinets may make some homeowners’ a little uneasy, but it’s nothing to fear nowadays and can actually make your kitchen look more open.

Typically, with tuxedo cabinets, the lighter color is on top and a darker color is on the bottom. It can help make a kitchen seem taller when the lighter color is above. It can also create a focal point, when a contrasting color is used on a kitchen island. And the differing shades can also break up the monotony of all one color cabinets, particularly in all-white kitchens.

Some real estate studies are suggesting that white cabinets contrasted by a dark navy blue or black kitchen island is among the most common tuxedo kitchen pairings in some real estate listings too.

Photo by Second Nature Interiors – Look for kitchen pictures
Photo by Heidi Caillier Design – Look for kitchen design inspiration
Photo by Maletz Design – More kitchen photos
Photo by Revision LLC – More kitchen photos


Source: National Association of Realtors

Posted in: Melton Team Real Estate News Tagged: NAR

REALTORS® Expect Modest Rise in Home Prices, According to NAR August 2018 Survey

In a monthly survey of REALTORS®, respondents are asked “In the neighborhood(s) or area(s) where you make the most sales, what are your expectations for residential property prices over the next year?”

 Based on the responses of approximately 3,000 REALTORS® who answered this question in the August 2018 REALTORS® Confidence Index Survey, the median expected price change in the next 12 months nationally is 2.1 percent, a slower price appreciation compared to the 4.0 percent average during the January through May 2018 surveys (2.5 percent in July 2018 and 3.0 percent in August 2017).

The chart below shows the median expected price change across the U.S. states based on the June, July, and August 2018 surveys of REALTORS®.[1] The median expected price growth ranges from no change to five percent across the states.

REALTORS® who responded to the survey expect prices to typically increase in the state at four percent in Idaho, Nevada, Utah, Arizona, Alabama, and Delaware.

Home prices are also expected to appreciate at three to less than four percent in the states of Washington and Colorado, in some Midwest states (South Dakota, Wisconsin, Michigan, Indiana), in some South states (North Carolina, South Carolina, Georgia, Florida, Mississippi), and in the District of Columbia. (Note: this survey was conducted before Hurricane Florence hit the Carolinas).

However, respondents expect prices to typically increase by less than two percent in California, Texas, Massachusetts, among others. In Connecticut, the median expected price change is zero percent.

Home prices have started dropping, although modestly in some areas. Based on the FHFA Home Price Index (Purchase Only Index, seasonally adjusted), home prices fell in the second quarter of 2018 compared to 2018 Q1 in high price areas such as Urban Honolulu (-6.3%), San Jose-Sunnyvale-Sta. Clara (-0.4%), Washington-Arlington-Alexandria (-0.2%), Silver-Spring-Frederick-Rockville. MD (-2.1%), and Hartford-West Hartford, CT (-1.0%).

Prices increased only modestly In Los Angeles-Long Beach-Glendale, (0.1%), as well as in Seattle-Bellevue-Everett, WA (0.2%).

Prices still rose strongly in areas such as San Francisco -Redwood City-South-San Francisco, Las Vegas-Henderson-Paradise (4.2%), and Boise, ID (4.6%), among others.

Solid employment growth and tight supply is still bolstering home prices in many areas, but the price appreciation is moderating (and prices are falling in some areas), which should make home prices more affordable for homebuyers.

Use the data visualization tool below to explore how prices changed across the top 100 metros as of 2018 Q2.

 

Dashboard 1

var divElement = document.getElementById('viz1538080177648'); var vizElement = divElement.getElementsByTagName('object')[0]; vizElement.style.width='560px';vizElement.style.height='987px'; var scriptElement = document.createElement('script'); scriptElement.src = 'https://public.tableau.com/javascripts/api/viz_v1.js'; vizElement.parentNode.insertBefore(scriptElement, vizElement);

 

About the Realtors® Confidence Index Survey

The RCI Survey gathers information from REALTORS® about local market conditions based on their client interactions and the characteristics of their most recent sales for the month. The August 2018 survey was sent to 50,000 REALTORS® who were selected from NAR’s1.3 million members through simple random sampling and to 8,386 respondents in the previous three surveys who provided their email addresses. There were 4,639 respondents to the online survey which ran from September 1-11, 2018. NAR weights the responses by a factor that aligns the sample distribution of responses to the distribution of NAR membership. The REALTORS® Confidence Index is provided by NAR solely for use as a reference. Resale of any part of this data is prohibited without NAR’s prior written consent. For questions on this report or to purchase the RCI series, please email: Data@realtors.org.

 


[1] In generating the indices, NAR uses data for the last three surveys to have close to 30 observations. Small states such as AK, ND, SD, MT, VT, WY, WV, DE, and D.C., may have fewer than 30 observations.


Source: NAR Economic Outlook

Posted in: Melton Team Real Estate News Tagged: Melton Team

Find Out the New, Hot Home Color for 2019

By Melissa Dittmann Tracey, REALTOR(R) Magazine

Photo credit: Behr

The paint company Behr has named a rich, bluish hue its 2019 Color of the Year. Blueprint is a mid-tone blue that is described as warmer than denim but softer than navy.

Behr is predicting that embracing a full range of blue, teal,and gray will be a key style for home design in 2019. “Layer light and dark blues on walls, cabinets, furniture, and decor for impactful results,” Behr says.

The color matches with the jewel tone trend that has been taking off in 2018, which also has seen the popularity of dark greens and purples in decor.

Blueprint is a dark color but can also be a classic that can be mixed with many color combos and in different home styles too, the company notes. The color can work as an accent wall color, on kitchen cabinets, in home accessories, bedding or blankets, or furnishings.

Gray will remain a hot neutral in 2019, but color forecasters believe that as warmer tones in taupe and terra-cotta rise in popularity, earthy blues and brown combinations will grow too.

Also, Behr predicts that powder blue, blush peach, and tinted lilac will emerge as new neutrals in the new year as well. These colors  create “relaxed and expansive spaces,” the company says. “Matte finishes emphasize softness, while metal accents add glamour.”

Photo credit: Behr

Photo credit: Behr


Source: National Association of Realtors

Posted in: Melton Team Real Estate News Tagged: NAR

It’s Easy Being Green: How to Add This Year’s Hottest Hues of Green to Your Décor

Photo Credit: Crate and Barrel

By Laura Love Bardell, guest contributor

This year in home decor, green is really having a moment. Far from being a short-lived trend, however, this verdant color is definitely here to stay. Luckily for us, green goes with just about everything, and it’s easy to incorporate into any room of your home.

Add some life.

The simplest way to add green into your home decor is with botanicals, which blend effortlessly into any color scheme. Place a cluster of potted succulents on the coffee table, and fill that empty corner behind the sofa with a statement fiddle leaf fig tree. In spaces that lack sufficient natural light for live plants, consider faux varieties. With advances in manufacturing techniques, many artificial plants look just as convincing as the real thing and require no maintenance.

Accessorize.

In rooms with a neutral color palette, use green accessories to add a pop of color or texture. Swap out existing window treatments with curtains featuring botanical leaf prints or patterns. Layer throw pillows and blankets on the living room sofa. Avoid choosing all solid color pillows as the effect can be a bit flat; instead opt for complementary patterns and textures for a fresh, updated look.

Style your bookcase or end table with a vibrant emerald centerpiece bowl, or intersperse green vases with on-trend marble decor on the console table for a chic, of-the-moment look. For a bolder statement, consider a kelly-green statement wall, palm print wall decals, or a luxe velvet sofa in a rich olive hue.

Mix it up.

Beyond neutral palettes, green works beautifully in any number of color schemes. Many shades mix easily with black and white; use this combination for a classic, timeless aesthetic. Juxtapose a muted lime green with pops of red, orange, and yellow for a playful, energized space. Paler hues mix well with pastels or jewel tones offer a rich, vibrant look.

ABOUT THE AUTHOR: Laura Love Bardell  writes for  Crate and Barrel,  where  she creates design-savvy content on the latest home-furnishing trends. Laura enjoys giving tips for how to use furniture creatively for any space, big or small.


Source: National Association of Realtors

Posted in: Melton Team Real Estate News Tagged: NAR

How much of my income goes towards housing?

With rates rising and home price growth starting to slow, I started to consider how much income is used towards housing in this current economic climate. Mortgage rates are trending upwards to near the highs of 2011 at 4.98 percent, home prices are still rising but at a slower pace, and the median income has been steadily rising although an even more modest pace than house prices. These factors go into how much of a person’s income goes towards housing expenditures and whether housing is a burden for potential homebuyers. This blog will highlight some of the factors and show states and regions where housing is less of a financial burden.

Home Price vs Median Family Incomes

Home prices since 2000 started to outpace incomes but started to turn towards the end of 2007, until home prices plummeted during the Great Recession. In 2008, incomes grew making it favorable for potential homeowners to buy a home. It took home prices about 4 years to recover, beginning in 2012. Around 2014 home price growth began to bloom and once again, prices started to outpace incomes. This pace has continued until recently, as home price growth has slowed making owning a home affordable. As of the second quarter of 2018, family incomes have increased by 52 percent since 2000, while housing prices have increased by 95 percent, or nearly doubled the level in 2000.

Payment to Income and Mortgage Rates

Let us look at the amount of money homeowners had to commit from their income to be able to afford a home. In 2000, when interest rates were 7.90 percent, homeowners had to spend about 19.6 percent of their income to be able to afford a home. In 2006 when rates were around 6.50 percent, homeowners had to spend 22 and up to 24 percent of their income on a home. In the wake of the Great Recession in 2009-2010, mortgage rates started to fall, so the share of income that went to paying a mortgage declined. In 2013 when rates were down to 3.47 percent, the mortgage payment on a median priced home was 11 percent of the median family income, putting less pressure on household incomes. Since that time rates have continued to decline, much to the benefit of potential homeowners. Anything above 30 percent is considered burdensome on households, but below that range would be typically affordable. On a regional level, the West requires a higher portion of your income, which has eclipsed the 35 percent mark. The Midwest, being the most affordable region, requires the least percentage of median family incomes. The Midwest started around 15 percent and, at times, dipped below 10 percent and is currently hovering back around 15 percent.

Payment to Income Ratio

A ratio between 2.5 and 4 is normal and healthy price to income ratio for the housing market. As of August 2018, the median price of existing homes sold was 3.5 percent of the median family income. The Harvard University Joint Center for Housing Studies (JCHS) produced a map showing the US home price to income ratios. The ratios range from under two to over eight. As the map below illustrates, costal markets have much higher ratios, indicating significantly higher home prices compared with incomes. The West Coast region has affordability issues, with several areas posting ratios above eight, including San Diego, Los Angeles and the San Francisco metropolitan area. Small pockets in the Northeast reach above five, mostly clustered around New York City and Boston. The Miami/ South Florida Region also posts low affordability. In comparison, The Midwest region has ratios in the 2-3 range, in line with historical averages.

Jobs Generated vs GDP Growth Rate

The Gross domestic product (GDP) has hovered around 3 percent and has had to withstand the tech bubble, wars and several crises. In 2009, both jobs and GDP took a dive but rebounded the following year. GDP and jobs have grown solidly after the Great Recession. Unemployment has been below 6 percent ever since 2014, which is good for economic progress and potential homebuyers.

Even with rising rates and higher home prices, potential homebuyers have plenty of reason to join the market. Real Estate is still affordable in several states and regions. The job market is strong, GDP is at a healthy level and consumer confidence is high. New homes and existing inventory figures are now improving, although still modestly, but the increase in inventory is helping tame price growth.


Source: NAR Economic Outlook

Posted in: Melton Team Real Estate News Tagged: Melton Team

Staged to Sell: A Fixer Upper to Show Stopper

Home stager: Justin M. Riordan, founder of Spade and Archer Design Agency, with offices in Portland, Ore., and Seattle

The home: This Portland, Ore., home was a “complete and total fixer,” Riordan says. But it wasn’t anything that some savvy staging couldn’t fix. The 3,180-square-foot home was built in 1906 and features five bedrooms, 3.5 baths. It’s listed for $875,000.

Riordan’s Staging Tips: 

Photo Credit: Justin Riordan, Spade and Archer Design Agency

  1. When staging a home, stick with neutral rugs with little to no pattern. This will keep the the rugs from distracting from the house itself.

Photo Credit: Justin Riordan, Spade and Archer Design Agency

2. Mix styles because not everybody loves modern or Victorian or vintage. By having an eclectic mix of styles in each room, the staging can appeal a little bit to each person.

Photo Credit: Justin Riordan, Spade and Archer Design Agency

3. Use color blocking. By assigning a single color to each room, buyers will have a way to discuss each room. This house has a green bedroom, a pink bedroom, a grey bedroom, and a brown bedroom. When the buyer say, “I think Sally should have the pink bedroom,” the other buyer will understand immediately which room they were talking about.

 

Have a home you recently staged that you’d like to show off here at Styled Staged & Sold? Submit your staging photos for consideration, along with three to five of your best spruce-up tips. Contact Melissa Dittmann Tracey at mtracey@realtors.org.


Source: National Association of Realtors

Posted in: Melton Team Real Estate News Tagged: NAR

With Higher Mortgage Rates and Home Prices, REALTORS® Reported Slower Homebuying in July 2018

In a monthly survey of REALTORS®, respondents are asked “Compared to the same month last year, how would you rate the past month’s traffic in neighborhood(s) or area(s) where you make most of your sales?” Respondents rate seller traffic as “Stronger” (100), “Stable” (50), or “Weaker” (0) and the responses are compiled into a diffusion index. An index greater than 50 means that more respondents reported “stronger” than “weaker” conditions.

REALTORS® reported slower homebuying activity in July 2018, according to the  July 2018 REALTORS® Confidence Index Survey. The REALTORS® Buyer Traffic Index registered at 62, down from the same month one year ago (69). This is the fifth straight month (since March 2018) that Realtors® reported a decline in buyer activity compared to conditions one year ago. The decline in the REALTORS® Buyer Traffic Index mirrors the trend in NAR’s tally of existing home sales that showed a year-over-year decline in sales since March 2018.

NAR also asks REALTORS® about current market conditions and the outlook in the next six months in the single-family homes market. Both the REALTORS® Confidence Index: Single-family Current Conditions and the REALTORS® Confidence Index: Single-family 6-Month Outlook also declined compared to one year ago.

The indices are still all above 50, which means that there are more respondents who reported a stronger than a weaker market for the reference month compared to conditions one year ago. However, a lower index means a smaller fraction of respondents reported a stronger market (than a weaker market) in their business area.

The increase in the mortgage rates and higher home prices since January 2018, have combined to make a home purchase less affordable. Freddie Mac’s contract 30-year fixed mortgage rate rose from an average of 4.03 percent in January to a peak of 4.59 percent in May 2018 and stood at 4.53 percent in July 2018, while the median price of existing homes rose from $240,800 in January 2018 and peaked to $273,800 in June 2018, then slid slightly to $269,600 in July.

Assuming a 10 percent down payment[1], the monthly mortgage rose from $1,030 in January 2018 to $1,233 in July 2018 (increase of $233/month). The mortgage payment is still affordable —at 15 percent of the estimated household income of a 2-wage earner family (933/week/earner)—but this is slightly up from 13 percent in January 2018. Households whose housing expense make up more than 30 percent of income are considered cost-burdened.[2]

Mortgage rates eased somewhat in July 2018, to 4.53 percent, from a peak of 4.59 in May 2018, while the median price of an existing home also decreased to $ 269,600 from $273,800 in June 2018, leading to a slight decrease in mortgage payment in July 2018 from June 2018.

With the unemployment rate at 3.9 percent and core inflation at 2.4 percent in July 2018, the expectation is a continued gradual increase in the federal funds rate, which will also bump up mortgage rates. NAR Chief Economist forecast the 30-year mortgage rate to average 4.6 percent in 2018 and 5.1 percent in 2019.

Estimate of Impact of Higher Mortgage Rate on Existing Home Sales

Higher mortgage rates tend to dampen home sales, as shown during the period when mortgage rates rose in mid-2013 (‘taper tantrum’ period) and starting in the fourth quarter of 2016 as the Federal Operations Market Committee embarked on a gradual increase in the federal funds rate in line with its mandate to foster growth and to keep inflation near two percent. Home sales have remained essentially flat since the fourth quarter of 2016 given the series of gradual rate increases.

De Fusco and Paciorek (2014) estimated that a one percentage point increase in mortgage rates decreases mortgage demand by 2.5 percent.[3] Using this elasticity, I estimated that the 72 basis point increase in 30-year fixed rate mortgage in September 2017 and July 2018 reduced existing home sales by an annualized rate of 100,000 units (from 5.37 million to 5.27 million annualized sales).  The seasonally adjusted annual home sales in July 2018 was 5.34 million. The unexplained difference (5.34 million less 5.27 million) may be due to other factors that boosted demand, such as an increase in employment.


[1] The median amount financed is 90 percent, according to NAR’s 2017 Home Buyers and Sellers Report; https://www.nar.realtor/sites/default/files/documents/2017-profile-of-home-buyers-and-sellers-11-20-2017.pdf

[2] HUD, Rental Burdens: Rethinking Affordability Measures, https://www.huduser.gov/portal/pdredge/pdr_edge_featd_article_092214.html

[3] De Fusco and Paciorek, The Interest Rate Elasticity of Mortgage Demand: Evident from Bunching at the Conforming Loan Limit, https://www.federalreserve.gov/pubs/feds/2014/201411/201411pap.pdf


Source: NAR Economic Outlook

Posted in: Melton Team Real Estate News Tagged: Melton Team

Posts navigation

Next Page »
757-784-1358
The Melton Team
eXp Realty
Hampton Roads, VA

Property Search

Advanced Search Map Search

Virginia Communities

  • Hampton Roads
  • Newport News
  • Hampton
  • Poquoson
  • York County

Helpful Links

  • User Signup
  • My Account
  • Home Valuation
  • Mortgage Calculator
  • Contact

Blog Topics

  • Around the Web (19)
  • First Time Home Buyers (2)
  • For Buyers (6)
  • For Sellers (6)
  • FSBOs (1)
  • Home For Sale by The Melton Team (55)
  • Homes Sold by The Melton Team (122)
  • Housing Market Updates (4)
  • Houzz Home Design (80)
  • Infographics (1)
  • Interest Rates (2)
  • Melton Team Home Design Ideas (88)
  • Melton Team Home DIY Projects (45)
  • Melton Team News (132)
    • Home Improvement Showcase (10)
  • Melton Team Real Estate Advice (137)
  • Melton Team Real Estate News (270)
  • Melton Team Reviews (66)
    • Cindy Matchinis, Realtor (16)
    • Erin Melton, Associate Broker (47)
  • Move-Up Buyers (1)
  • Property Staging by The Melton Team (38)
  • Time-sensitive (1)
  • Uncategorized (1)
  • Virginia Neighborhoods (2)
Erin Melton
Erin Melton real estate agent portrait.
Associate Broker
License#: 0225059465
Experience: 20 years
757-784-1358
erin.melton@exprealty.com
Newport News
11815 Fountain Way Suite 300
Newport News, VA 23606
757-784-1358
  • User Signup
  • My Account
  • Home Valuation
  • Mortgage Calculator
  • Contact

The Melton Team has been selling homes in Hampton Roads, VA for over 20 years. We pride ourselves on being the internet real estate experts in the area. We sell single family homes, new homes, townhomes, condos and land. We service the following areas: Richmond VA, Williamsburg VA, Hampton VA, Newport News VA, York County VA, James City County VA, Yorktown VA, Poquoson VA and more.

Copyright 2001-2020 Erin Melton, Associate Broker • eXp Realty • Hampton, VA • MLS Sitemap • Disclaimer

Licensed Associate Broker in the state of Virginia • REALTOR is a licensed trademark of the National Association of REALTORS.